Berenberg Downgrades Swiss Re to Hold Amid 'Limited' Earnings Potential

01:32 AM EST, 12/10/2025 (MT Newswires) -- Berenberg downgraded Swiss Re (SREN.SW) to hold from buy, with the price target slashed to 140 francs from 161.40 francs, noting "limited" scope for a material upward revision to earnings or a re-rating of its multiple. Analysts on Tuesday reduced their full-year 2026 and 2027 net income projections by 14.8% and 18%, respectively, amid expectations of lower profits for the reinsurance company's property and casualty reinsurance and life and health reinsurance units. "While the 2026E USD4.5bn net income target (announced at its 5 December Management Dialogue) is achievable, in our view, pressures are rising in property and casualty reinsurance (P&C Re) while releases in life and health reinsurance (L&H Re) are rebased after a long review. Trading on c10x our 2027E EPS, 11% above its long-run average, for a c3% EPS CAGR during the next two years, we believe there is better risk/reward elsewhere in the sector," the research firm wrote, adding the current risk/reward for the company's shares is "balanced."